After the termination or expiration of the Aw Franchise Agreement, can a franchisee use any trade name that suggests a connection with Aw?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
- 16.2 The Marks. You (and your Owners) agree that after the termination or expiration (without renewal) of this Agreement you will:
- (a) not directly or indirectly at any time or in any manner identify yourself or any business as a current or former Papa Ray's Pizza Restaurant, or as a franchisee or licensee of or as otherwise associated with us, or use the Marks, any colorable imitation thereof or other indicia of a Papa Ray's Pizza Restaurant in any manner or for any purpose, or utilize for any purpose any trade name, trademark, service mark, trade dress, domain name, or other commercial symbol that suggests or indicates a connection or association with us;
Source: Item 22 — CONTRACTS (FDD pages 39–40)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, franchisees are prohibited from using any trade name that suggests a connection or association with Aw after the termination or expiration of the franchise agreement. Specifically, franchisees cannot identify themselves or their business as a current or former Papa Ray's Pizza Restaurant, or as a franchisee or licensee of or as otherwise associated with Aw. They are also barred from using Aw's marks, any imitation of those marks, or any commercial symbol that suggests a connection with Aw. This restriction is in place to protect Aw's brand identity and prevent confusion among customers.
This means that upon termination or expiration, a franchisee must immediately cease using Aw's trademarks, service marks, and trade dress. They must remove all signs, promotional materials, and any other items that display Aw's branding. Additionally, the franchisee must cancel any assumed name registrations related to the use of Aw's marks and notify the telephone company and listing agencies to discontinue the use of any telephone numbers and directory listings associated with Aw. The franchisee is also required to transfer any domain names, websites, or social media presence using Aw's marks to Aw or its designee.
Aw also requires franchisees to make necessary modifications to the physical premises to eliminate any association with the Aw system if they continue to operate a business at the same location. This includes removing distinctive physical and structural features that identify the system. If a franchisee fails to comply with these requirements, Aw has the right to enter the premises and make the necessary changes at the franchisee's expense. These measures ensure a clear separation between the former franchise and any subsequent business, preventing potential customer confusion and protecting Aw's brand integrity.
These post-termination obligations are standard practice in franchising to protect the brand and prevent unfair competition. Prospective Aw franchisees should carefully consider these restrictions and ensure they have a plan for rebranding or operating a different business if they choose not to renew their franchise agreement.